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July 27, 2022, 8:32 a.m. EDT

Austral Gold Reports Encouraging Results at Casposo

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Sydney, Australia, Jul 27, 2022 (Newsfile Corp via COMTEX) -- Sydney, Australia--(Newsfile Corp. - July 27, 2022) - Austral Gold Limited (asx:AGD) /zigman2/quotes/205808903/delayed CA:AGLD -12.50% (the "Company" or "Austral" ) is pleased to announce exploration results at its Casposo-Manantiales project in Argentina.

Highlights:

  • At the Manantiales vein, the follow-up drilling program intercepted high gold grades for the first time, opening the upside at depth and indicating the continuity of mineralisation in the south ore-shoot.

  • At the Cerro Amarillo project, the delineation process continued with rock-chip sampling providing gold grades up to 149.74 grams per tonne ("g/t") Au and 622 g/t Ag at the La Puerta, Awada and Fabiola targets. Subsequent follow-up with channel sampling indicates high-grade mineralisation associated with intense silicification and the presence of multiple minor veining. The channels with the best results by area are:

The first phase of drill testing in La Puerta, Awada and Fabiola were completed. At La Puerta, the three holes drilled had no significant results, while the results from the three holes in Fabiola and one in Awada have not yet been received.

  • To date, a total of 2,321.3 meters were drilled in 12 diamond drill holes and assays from 8 drill holes have been received to date.

  • We plan to resume the drilling program in September 2022 when weather conditions improve, which we expect to include the following:

Chief Executive Officer, Stabro Kasaneva, commented: "We are encouraged with the latest assay results from our exploration program at the Casposo-Manantiales cluster. These results indicate that we are on the path towards achieving our strategic objective of re-starting mining operations at Casposo. We will keep our shareholders informed on further drill results and our next drilling campaign starting during September 2022."

Manantiales Vein

The phase II drilling campaign commenced in 2022 as announced in the Company's press release dated 28 April 2022. The drill campaign covered 1,273 meters in 5 holes with 4 holes oriented to define the southern ore-shoot extensions and a fifth hole to explore the continuity of mineralisation in the northern ore-shoot at the lower contact of the flat intrusive.

The best result obtained to date is drill hole MDH-22-063, which intercepted a high-grade gold structure with a width of more than 4 meters. This intercept indicates that the best mineralisation control in Manantiales vein is related to the lower contact of the dacitic intrusive opening the potential along this discontinuity and at depth.

Results from the drill holes MDH-22-060 and MDH-22-064 confirmed the continuity of the blind ore-shoot previously intercepted by drill holes MDH-22-057/058. Drill hole MDH-22-060 opens the mineralisation to depth, while drill hole MDH-22-64 indicates mineralisation closer to the surface. Drill hole MDH-0061 intercepted a post mineral dyke using the same space of the structure in that segment and did not show veins or mineralised structure.

The next drilling campaign is being planned to define the upside of the northern and southern ore-shoots and to explore the potential to the South and North at the protected blocks related to the Vallecito reverse faulting.


 
Casposo - Manantiales District: Targeting and Location Map
 
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/690/132024_d0a14f25942a8afc_002full.jpg  

 
Manantiales Vein: Drilling results at longitudinal section
 
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/690/132024_d0a14f25942a8afc_003full.jpg

Cerro Amarillo - Exploration Update

At Cerro Amarillo, the delineation process continued with rock chip sampling showing high gold values in the La Puerta, Awada and Fabiola sectors.

These results are related to multiple centimeter veinlets in at least three main directions, all predominantly hosted in a complex of exogenous rhyolitic domes. The largest known structures appear to be controlled by the N-S oriented fault contacts of the domes with an andesitic tuff (Oveja Negra Fm). Their formation is related to a low sulphidation system, likely developed as sheeted veinlets and stockwork of millimeter to centimeter veinlets of quartz and quartz-adularia with the presence of ginguro.

The results of reconnaissance sampling in veinlets and veins from 2 to 60 cm obtained the following results:

  • La Puerta:

  • Awada:

  • Fabiola:

Subsequent follow-up channel sampling confirmed high-grade mineralisation associated with intense silicification and the presence of veining. Highlights of the results from the channels are as follows:

  • La Puerta:

  • Awada:

  • Fabiola:

/zigman2/quotes/205808903/delayed
CA : Canada: TSX Venture
$ 0.04
-0.0050 -12.50%
Volume: 2,000
Sept. 30, 2022 10:35a
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$22.72 million
Rev. per Employee
N/A
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